Which of the Following Is NOT an Approach to Reduce

question 3

Multiple Choice

Which of the following is NOT an approach to reduce the inaccuracy of forecasts?

• A)Collaborative forecasting between the company,its customers,and suppliers.
• B)Acceleration of the forecasting process to reduce errors.
• C)Analyzing the buying capacity of customers.
• D)Focusing on the forecasting methods that will include all relevant factors.

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Definitions:

Excess Capacity

A situation where a company can produce more goods or services than currently demanded by the market, indicating underutilization of resources.

Allocated Fixed Costs

Fixed costs that are assigned or distributed across different departments, products, or activities within a company for budgeting and accounting purposes.

Direct Fixed Manufacturing Costs

Fixed costs directly associated with the manufacturing process, such as salaries of production supervisors.

Discontinue

The process of ending the production and sale of a product or service, often due to strategic reevaluation or lack of success.